As the busy holiday season continues, brands are refining their marketing strategies to maximise customer engagement and sales. It’s important for marketers to carefully consider consumer mindsets and behaviour during this period to identify the most effective techniques for connecting with customers. Cathrine Jansson-Boyd, a professor of consumer psychology at Anglia Ruskin University, shares her thoughts on the psychology of peak season shopping.
There are a lot of sales and deals during peak season. What’s the psychology behind that ‘feel-good’ feeling we get when we buy a discounted item?
There isn’t a human in the world who doesn’t like a bargain. We’re almost pre-programmed to like a good price. What tends to happen is that, when we anticipate a good price, the part of the brain that creates pleasure is activated. That means we get this excited feeling, which draws us to bargains and sales signs.
That same part of the brain is also in charge of dopamine. And of course, dopamine is usually referred to as a happy drug within the body. So you get feelings of excitement and happiness when you encounter a good price.
Marketers should convey a clear message about how big the discount is compared to the previous price
What does that mean for marketers when they’re developing their campaigns?
They should approach consumers with very clear signage that they are offering a big discount, because the bigger the discount, the more excited consumers get. Your brain will then send messages to your body, which creates a bit of an adrenaline rush. You will get worried about missing out, so you will be more likely to act.
A vague message about a reduction might not be enough. Marketers should convey a clear message about how big the discount is compared to the previous price.
Can you tell us more about how emotions impact shopping decisions when buying gifts?
Emotions guide our decisions – whether we think they do or not. Just think about nice things that trigger emotions, like colours, smells, environments and the atmosphere of Christmas. That atmosphere can lead us to buy things because we feel good. And actually, you might take it home and experience some level of regret.
This also interacts with people feeling under pressure – which many do in the lead-up to Christmas. People’s last-minute shopping might be driven by the emotions of the particular setting they’re in. But actually, that might not have been the best decision. To overcome that and shop with their head, consumers might want to sit down at home and make a list of things they think other people might appreciate. Without a specific guide, people tend to be guided by emotions.
What does this mean for marketers? How can they help guide consumers?
One thing that can be quite effective, but not very many marketers seem to do, is to categorise products based on who could be interested in them. So you are helping the consumers to make the right decisions. For example, ‘here’s something for the person in your life who’s into golf’. What you shouldn’t do is patronise by saying: ‘This is for Grandma’. Grandmas are not all the same.
It’s a cliché to say ‘it’s the thought that counts’ but research shows that thoughtful gifts tend to be valued more than expensive ones. Can you explain why this might be the case?
It has been suggested that this is the case, but when you test it psychologically, it doesn’t hold up. What tends to happen is that people aren’t happy with gifts, and if it’s a relatively expensive gift, people can wonder why they didn’t get something even more expensive. So that can backfire.
Shared experiences create the most happiness. By giving a gift like that, you’re effectively saying that you want to spend time with the recipient. And that seems to hit better psychologically because they feel like a loved one is really making an effort.
What piece of advice would you give to marketers to make their brand stand out amid the frenzy of peak season?
There isn’t one size fits all but I think showing that you care in some respect is a good idea. One example we saw a few years ago was a well-known supermarket making use of an existing advert for a charity, even though you are not allowed to actually do that and it was banned as a marketing campaign. But people responded and it went viral. So even though it was a gamble for the company, it paid off because it showed that they care. Marketers could do things – although maybe not a marketing stunt like that – to show consumers they care.
Disclaimer: The views, information or opinions expressed during this interview are solely those of the individuals involved and do not represent those of Intuit Mailchimp or any of its cornerstone brands or employees.
